Step 1, Get Your Finances in Order
Your credit reports are an ongoing look at how you manage your finances. You must know exactly what your credit reports say about your financial history before you apply for a mortgage, because the reports play an important role in the mortgage approval process and in determining the interest rate and other loan terms that a lender offers you.
If you haven't looked at your credit reports, you might be surprised at their contents, because errors are common.
Background Reading
- What's on Your Credit Report and How Did it Get There?
- How To Check Your Credit Report
- Clean Up Your Credit Report
- Understanding Your Credit Scores
- How to Improve Your Credit Scores
Step 2, Get Familiar with the Mortgage Industry
Finding the right loan and lender is crucial to your home buying success. It's up to you to determine which lender is best for your needs, and it's always a good idea to have at least a bit of background about the loan process before you talk to a lender.
Background Reading
- What's the Difference Between a Mortgage Broker and a Bank Loan Officer?
- Understanding Your Debt to Income Ratio
- Should You Choose an Adjustable Rate Mortgage?
- FHA Loan Basics
- VA Home Loan Facts
- Bi-Weekly Mortgage Payment Plans
- Should You Really Buy Discount Points?
- Facts About Private Mortgage Insurance
- Will You Have a Mortgage or a Deed of Trust? Why Does it Matter?
- Watch Out for Loan Fraud
For more tips, click here. |
